Armstrong World seeks “strategic alternatives”

Four months after emerging from bankruptcy, Armstrong World Industries Inc., of Lancaster, said today it is reviewing "strategic alternatives," which could include a sale of the flooring maker.

Armstrong stock rose sharply on the news. Shares were up $5.47, nearly 12 percent, to $52 in midday trading on the New York Stock Exchange.

The company emerged last October from six years in bankruptcy. Asbestos lawsuits had forced the company to seek protection from creditors.

The company said it has retained Lazard Freres & Co. LLC as its financial advisor and Weil, Gotshal & Manges LLP as its legal advisor to assist in the review process.

"There can be no assurance as to the likelihood, terms or timing of any transaction," the company said in a statement.

In 2005, Armstrong's net sales totaled approximately $3.6 billion. It operates 42 plants in 12 countries and employs approximately 14,200.